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Water Pricing

  At Pozitive Water we have developed a pricing strategy that guarantees a value-for-money service. In fact, our prices are absolutely clear and transparent – and we simply pass on the wholesale charges to clients at cost. This creates one transparent fee for the retail services we provide. As not only water suppliers but passionate advocates for the responsible and sustainable use of water, this structure is designed to encourage businesses to use less water. This is because our bill is based on service fees alone; we won’t receive any more money if you use more water. Instead, we can work as part of your team to help reduce your water usage and make you far more efficient. We comply with the market rules outlined within the Customer Code of Practice and the Retail Exit Code. You can find our standard Terms and Conditions here At Pozitive Water our prices are negotiated and are bespoke for each customer tailored to their needs. However, for a specific group of customers outlined in the codes, prices are set by the regulator which are specific for customers on deemed contracts. Details of the pricing arrangements for these customers can be found within the Retail Exit Code. It is worth noting that customers on deemed contracts are free to negotiate a contract that suits their needs. So, if this applies to you feel free to get in contact today.
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The Retail service fee is either a fixed charge or a percentage, depending on the terms of your contract with us. This fee helps cover our operating costs, such as reading your meter and generating your bills. The fee remains fixed for the duration of your contract and is determined by several factors, including:

  • Your wholesale charges
  • The number of SPIDs and meters (if applicable) at your property
  • Whether you have an active contract with us

If you choose to work with a Third Party Intermediary (TPI), the Retail Service Fee may also include TPI commissions.

Deemed Customer Charges

Deemed Customers are those who receive our services but are not under a contract with us. In England, OFWAT’s Retail Exit Code (REC) sets limits on the charges for Deemed Customers to ensure fairness. These customers are grouped based on their water usage, which helps determine the price caps.

Customer Groups:

  • Group 1: Uses up to 0.5Ml of water per annum.
  • Group 2: Uses between 0.5Ml and 50Ml of water per annum.
  • Group 3: Uses more than 50Ml of water per annum.

Each group has specific guidelines for how we calculate charges

Group 1 Customers (Up to 0.5Ml per Year)

Charges for Group 1 Deemed Customers are capped based on the following formula:

formula

Where:

actsti = is the allowed cost to serve (set at £54.00 for charging year 2025/26 period)

mc = meter read cost allowance (set at £10.52 for charging year 2025/26 period)

wti = the wholesale charge, for your specific Wholesaler area

nm = the allowed retail net margin (set at 2%)

b = the allowed customer bad debt cost allowance (set at 2.45%)

REC allowances for Group 1 customers following the permitted adjustments
REC Price Cap Elements
Allowances for 2025/26 Charging Year
Allowances for 2024/25 Charging Year
Allowed Cost To Serve (ACTS)
£54.00
£52.35
Meter Read Cost Allowance
£10.52
£10.20
Allowed Net Margin (%)
2.00%
2.00%
Customer Bad Debt Costs (%)
2.45%
2.45%

Group 2 Customers (0.5Ml to 50Ml per Year)

Charges for Group 2 Deemed Customers are based on a formula that includes a gross margin (gm), which is capped at the following rates:

  • Water Services: 8.0% for charging year 2025/26 period
  • Sewerage Services: 10.0% for charging year 2025/26 period

The Formula is:

formula1

ServiceAllowed Gross Margin 2025/26Allowed Gross Margin 2024/25
Water Services8.0%8.0%
Sewerage Services10.0%10.0%

Group 3 Customers (Over 50Ml per Year)

For Group 3 Deemed Customers, charges must be:

  • Reasonable, considering the scale of usage.
  • Consistent, with no undue preference or discrimination compared to other customers in the same group.

This ensures fairness and transparency in how we set charges for large water users.

For fairness and transparency, we charge the same gross margin as Group 2 customers.

  • Water Services: 8.0% for charging year 2025/26 period
  • Sewerage Services: 10.0% for charging year 2025-26 period

The formula is:

formula2

ServiceAllowed Gross Margin 2025/26Allowed Gross Margin 2024/25
Water Services8.0%8.0%
Sewerage Services10.0%10.0%

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